Entero Healthcare IPO subscribed 1.53 times on final day, QIBs lead the bidding

The Entero Healthcare Solutions initial public offering (IPO) was fully subscribed to on the third and final day of subscription despite a subdued start. Entero Healthcare Solutions IPO subscription was open from February 9 to February 13.

Entero Healthcare Solutions IPO was subscribed 1.53 times on the fifth and final day of subscription on Tuesday. The company received bids for 1.09 crore shares as against the 71.5 lakh shares on offer, as per the NSE data.

The IPO picked momentum after starting with only a 9% subscription on day 1. The qualified institutional buyers (QIB) segment led the bidding process with subscription of 2.28 times while the retail segment received bids for 1.33 times.

The retail investors submitted bids for 17,43,885 shares as against 13,07,073 on offer. The QIB segment received bids for 86.86 lakh shares against the 38.08 lakh shares reserved for the category.

However, non-institutional investors (NIIs) showed a subdued response and did not fully subscribe to the shares reserved for them. Bids were received for only 4,26,756 shares as against 19,60,609 set aside for NIIs.

Of the total IPO size, 75% was reserved for QIBs where NIIs and retail investors had a quota of 15% and 10% respectively. The company kept 74,349 shares reserved for employees.

Entero Healthcare IPO share allotment

The Entero Healthcare IPO share allotment status is expected to be finalised on Wednesday, February 14. The successful bidders can check the Entero Healthcare IPO allotment status on BSE and the official website of the registrar on Wednesday. Link Intime India Private Limited is the registrar of the IPO. The allotted shares are expected to be credited to the accounts of the subscribers on February 15. Entero Healthcare Solutions shares are set to be listed on the NSE and BSE on February 16.

Entero Healthcare Solutions Limited IPO: issue size, lot size and price band The price band for Entero Healthcare Solutions Limited public offer was fixed at ₹1,195 to ₹1258 per equity share. The retail investors were allowed to bid for a lot size of 11 shares and in multiples thereafter. The minimum investment amount was ₹13,145. The maximum investment in this category was capped at ₹2 lakh. For Entero Healthcare Solutions Limited employees participating in the IPO, the maximum investment ceiling was fixed at ₹2 lakh.

Healthcare Solutions Limited IPO comprises a fresh issue of ₹1,000 crore and an offer for sale (OFS) of 4,769,475 equity shares of the promoters and other investors aggregating to ₹600 crore.

The company raised ₹716.4 crore from anchor investors ahead of the IPO opening for subscription.

ICICI Securities Limited, Dam Capital AdvisorsLimited, Jefferies India Private Limited, Jm Financial Limited and SBI Capital Markets Limited have been appointed the book-running lead managers for the public issue.

Entero Healthcare Solutions Limited will be using the proceeds from the public issue to finance long-term working capital needs and repayment or prepayment of borrowings. Further, the funds will also be used for expansion and general corporate purposes.

About Entero Healthcare Solutions

Founded in 2018, Entero Healthcare Solutions Limited is a distributor of healthcare products in India. The company offers healthcare product distribution services to hospitals, clinics and pharmacies.

The company offers over 4,500 products, with real-time inventory records. It also offers order fulfillment and claim settlement services.

Entero Healthcare has a robust network across the country, covering 495 districts with a dedicated presence in 37 cities. It was among the top three healthcare product distributors in India in terms of revenue in FY 2022.